Dairy Crest could be saying au revoir to French spreads division
FTSE 250 dairy foods group Dairy Crest is shaking up its French branded spreads business and considering a possible sale of its St Hubert division.
FTSE 250 dairy foods group Dairy Crest is shaking up its French branded spreads business and considering a possible sale of its St Hubert division.
St Hubert, bought by Dairy Crest in 2007, manufactures Cholegram, Le Fleurier and Omega 3, the top selling spreads in France which account for 36% of the market.
The firm says that since its acquisition, St Hubert has been a successful part of the group and has consistently raised its market share and profitability.
MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
"However, Dairy Crest has been unable to make additional synergistic acquisitions in Continental Europe as it envisaged at the time of its acquisition of St Hubert and it believes that greater value may be generated for shareholders through the consideration of all the available options for St Hubert," the company announced this morning.
A disposal could reduce the group's debt and give it the flexibility to release some proceeds to shareholders, invest in the core business or make further acquisitions of branded businesses in the UK.
"This would further improve Dairy Crest's strong position in the consolidating UK dairy market. Any acquisitions would be synergistic and made within strict financial criteria, as will any decision over the future of St Hubert."
BC
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.
-
HMRC confirms crypto ETN ISA rules
With crypto ETNs now technically available for UK retail investors, HMRC has confirmed they can be held in an ISA – but there’s a complication
-
Pensioners targeted in fine wine scams – the tactics to watch for
Wine has emerged as the latest lure in investment fraud, with pensioners being specifically targeted by scammers